It's simply a fact that at $899, the camera targeted between the 5N and 7. It just so happens to also have 20MP, less than the, more than the 5N as well as a few features that set it apart. Whether or not it has
every feature plus X
of the 5N doesn't make much difference.

If a Toyota Corolla was redesigned with a bigger motor/higher price than a Honda Civic, but was still not a match in features or performance w/ an Accord, people would say it was in-between the Honda models, regardless of whether it was 'better in every way' to the Civic.

I'd say it doesn't make much of a difference to a regular consumer but as an enthusiast I disagree. The more competitive this segment gets and the more similar the models become in performance the only thing left to differentiate the value proposition between 2 competing models is spec and price. But I think Samsung is hoping to get away with $899 with the 20mpix. At $899 it doesn't become and impulse buy to me anymore, and I'll scrutinize it more than I would otherwise.